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Decision on allocation of arbitration costs contained in closing order constitutes final award subject to appeal

11 May 2016

Authors: Nathalie Voser; Elisabeth Leimbacher

In a French-­language decision dated 16 March 2016 and published on 23 March 2016, the Swiss Supreme Court set aside a decision of the arbitral tribunal in a domestic arbitration that the parties share the arbitration costs. This decision was part of a closing order and had been rendered after the claimant had refused to pay the respondent's share of the advance on costs. According to the Supreme Court, the tribunal's decision on costs constituted a final award which should have been rendered only after having heard the parties on this issue.
As they had not made submissions on this issue, the parties' right to be heard had been violated, which led the Supreme Court to vacate the decision. This decision is slated for publication in the official court reporter. (Decision 4A_422/2015.)

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Published in Practical Law Arbitration


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